FC Capital recognises that environmental, social and governance (ESG) factors can influence long-term investment outcomes and contribute to the resilience and sustainability of businesses over time. We believe that thoughtful consideration of these factors supports informed decision-making, enhances risk awareness, and promotes responsible capital allocation.
As a private debt manager investing across Australia and New Zealand, we seek to incorporate relevant ESG considerations throughout the investment lifecycle. Our approach is guided by responsible investing, recognising that strong governance, sound business practices and sustainable operations can contribute to better outcomes for investors, borrowers and the broader communities in which they operate.
Environmental
- Consider environmental factors that may influence a borrower's operations, resilience, or long-term performance.
- Review environmental management practices and awareness of relevant regulatory obligations.
- Assess sector-specific environmental considerations that may impact business operations, asset values, or future growth opportunities.
Social
- Incorporate relevant social considerations into our due diligence and investment assessment processes.
- Consider workforce practices, stakeholder relationships, and broader community impacts where material to a business.
- Foster an inclusive workplace and encourage high standards of conduct, safety and responsibility within our own organisation and others.
Governance
- Assess governance frameworks, management capability, and oversight structures as part of the investment evaluation process.
- Apply robust KYC and AML/CTF procedures in accordance with our regulatory obligations.
- Provide regular reporting to investors on asset performance and financial outcomes.
- Maintain transparent communication with investors through reporting and portfolio updates.
Our Investment Exclusions
As part of our commitment to responsible investing, FC Capital avoids providing capital to businesses operating in sectors associated with heightened ESG or human rights risk. These include, among others:
The production or distribution of pornographic content
Businesses operating within the commercial sex industry
Any business operating unlawfully within their jurisdiction
We continue to review our approach to responsible investing to reflect evolving market practices, regulatory developments and stakeholder expectations.
Collaboration partners
FC Capital is a signatory to the United Nations-supported Principles for Responsible Investment (PRI) — a global network of investors working to advance responsible investment practices.
As a signatory, we report periodically on our responsible investment activities. That responsible investment considerations form part of how we evaluate and manage investments, and represent an outcome our investors can consider as part of their decision to invest with FC Capital.
